Citi lowered its target price for Laopu Gold to HK$400 from HK$507 after third-quarter sales recovery fell short of expectations. According to Sina Finance, analysts including Tiffany Feng also cut profit forecasts, saying continued gold price volatility has dampened consumer spending appetite and lengthened the earnings recovery cycle.

Based on lower revenue expectations, Citi reduced its 2026, 2027, and 2028 net profit forecasts by 7%, 22%, and 23%, respectively, to 5.9 billion yuan, 4 billion yuan, and 4.6 billion yuan. The report said short-term performance may remain volatile, but recent customer surveys suggest consumer behavior has not changed dramatically, providing a clear signal for an eventual recovery. Citi added that investors may be underestimating Laopu Gold's competitive advantages and appear overly concerned about competition, while saying the current valuation looks attractive.